MINING MARKETS & INVESTMENT NEWS — Teck to invest $1.7 million in Ventures (January 11, 1999)

New Jersey-based Ventures Resource (VRS-V) says Teck (TEK-T) intends to raise proceeds of $1.7 million by exercising 1.4 million of Ventures’ class A warrants on or before Jan. 31, 1999, at a price of $1.25.Eighty-five per cent of the proceeds will be applied to a planned $2.3-million exploration program on Ventures’ Veta property in east-central Alaska. The 1-million-acre Veta property is 18 miles east of the Stoneboy property, where Teck is advancing the high-grade Pogo gold project.Ventures is exploring the Veta property through a $7.6-million equity financing arrangement with Teck. The major initially invested $4.1 million in Ventures by purchasing 3.7 million shares at $1.10 in December 1997. In addition, Teck was granted 1.38 million warrants exercisable at $1.25 for one year and 1.27 million warrants exercisable at $1.40 for two years.Teck has the right to select one project on the Veta property and earn a 60% interest in that project by completing a bankable feasibility study.Exploration at Veta is being managed by the Alaskan subsidiary of Watts Griffis & McOuat. WGM is also supervising work for Sumitomo Metal Mining, Teck’s joint-venture partner in the Pogo project, in the immediate area of the Veta property.During 1998, exploration at Veta concentrated on Carrie Creek, a 16-sq.-mile area at the western edge of the property block. Anomalous gold values were outlined in four parallel zones, which extended 2.5 miles in length and up to 1,000 ft. wide. Several chip samples yielded values greater than 1 oz. gold per ton.A 3-hole drilling program was completed in September. Winter weather conditions limited drilling to a single pad at the lowest elevation in the target area. The holes encountered significant quartz veining, with associated sulphide mineralization and widespread alteration, but only anomalous gold values.Ventures says the higher-grade targets remain untested. The 1999 exploration program will include 8,000 ft. of drilling in the Carrie Creek area.